UPDATE - Tax Filing and Payment Deadline to be Extended 90 Days

UPDATE - Tax Filing and Payment Deadline to be Extended 90 Days

by Stephen Ahern on Mar 19, 2020

Tax Planning

On March 20, the U.S. Treasury Department announced that it is pushing back the April 15 deadline to file and pay taxes owed, giving individuals and many businesses another 90 days to pay their 2019 income-tax bills. The IRS, using authority under President Trump’s national-emergency declaration, will waive interest and penalties as well.

Originally the Treasury extended only the payment date and made the extension available to people who owe $1 million or less and corporations that owe $10 million or less.  It is not yet clear if this will be the case under the return extension just announced or if all returns will be eligible for extension of time to file and pay.  We will keep you posted as we find out more from Treasury.

Please note that at this time, this is an extension of time to file and pay tax returns. Clients are still advised to timely file their returns if they expect a refund.  No additional application or election will be required for the extension of time to file or pay. The Secretary of the Treasury announced it will be applied automatically. Taxpayers with state or local tax payment obligations should consult with advisors with respect to those individual state or local obligations as the obligation to pay those taxes may not be deferred and vary from state to state.